Explain the following statements in brief on the point of reasoning: (i) Normally Banks do not grant advance to Trust Accounts.

Trustees have to act as per the Trust deed and for the sole benefit of the beneficiary of the Trust. Hence normally Banks do not grant advances to a Trust unless the Trust deed permits the Trustees to borrow loan and charge the assets of the Trust. The Bank has to ensure that it does not even inadvertently become a party in the misappropriation of funds.